Mazda will keep the rotary engine for the two new models but says it will come with improvements. Mazda has also developed a new dual-clutch 6-speed transmission where the driver can set the rev marker at which the gear changes are to be made.

The rotary engine will live on.

According to Inside Line, Mazda has a next-generation RX-7 well into its development phase and is also working on a next-gen RX-8 which will carry the name one digit further and be called the RX-9.

But if the rotary engine is not dead Mazda, it appears, is keen on killing off some of its drawbacks. Mazda's rotary power plant has been heavily criticized for poor fuel economy, bad emissions and a penchant for burning up engine oil. Now, the company is claiming to have made improvements to the previous rotary engineering.

The new 16X twin-rotor engine will come with an 800cc x 2 configuration (the current is a 654 cc x 2) and will better fuel consumption by about 20 percent all while generating 270 hp.

Also in the works for the next-generation RX-7 is a new dual-clutch 6-speed transmission where the driver can set the rev marker at which the gear changes are to be made.

Mazda is also bettering economy by reducing weight and has put both new models on a diet. A new chassis has lightened the RX-7 by about 220 pounds (100 kg) with the curb weight coming in at 2,640 pounds (1200 kg).